Domino’s Pizza (NASDAQ:DPZ) posted better-than-expected third-quarter results, fueled by robust same-store sales growth in both its U.S. and international operations. The upbeat earnings sent the company’s shares up 1.5% in premarket trading.
Earnings per share came in at $4.08, beating analyst forecasts of $3.96, while revenue reached $1.15 billion, slightly ahead of expectations of $1.14 billion. U.S. same-store sales rose 5.2%, and international same-store sales increased 1.7% on a currency-neutral basis.
Global retail sales advanced 6.3% excluding foreign exchange effects, and the pizza chain added 214 net new stores worldwide during the quarter — 29 in the U.S. and 185 across international markets. Operating income grew 12.2%, or 11.8% when excluding the benefit of currency fluctuations on international franchise royalty revenues.
“In the U.S., we drove positive order counts behind our Best Deal Ever promotion and stuffed crust pizza product innovation for the third quarter,” said Russell Weiner, Domino’s Chief Executive Officer.
The company attributed its strong results to effective promotions and product innovation, which supported growth in both delivery and carryout channels. Management expressed confidence that Domino’s is well positioned to keep gaining market share in the global quick-service restaurant pizza segment.
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